This seems to be missing something very important to me. Yes if your ownership goes from 10% to 8% but of a more valuable company you don't lose money. But pre

This seems to be missing something very important to me. Yes if your ownership goes from 10% to 8% but of a more valuable company you don't lose money. But presumably you were hoping the company would do well and be worth 10 times as much in the future, and your 2% loss of that future value is much more significant.